UPDATE 1-Equinox secures $400 mln in loan facility

Reuters Staff

2 Min Read

* Says four commercial banks to provide new loan facility

* Says loan facilities will be used to repay debt (All figures in U.S. dollars)

TORONTO, Feb 1 (Reuters) - Equinox Minerals Ltd EQN.TO said on Monday it has secured commitments from four commercial banks to provide a new loan facility totaling $400 million that will be used to repay some of its existing debt facilities.

The new loan facility, being extended by Standard Bank Plc, Standard Chartered, Industrial and Commercial Bank of China and BNP Paribas, will allow greater flexibility than the existing project debt facilities, the Canadian miner said in a statement.

The loan facility will be used to repay its existing senior and subordinated project debt facilities that were arranged in 2006 for the development of the company’s Lumwana copper mine in Zambia.

Lumwana is Equinox’s flagship project and is currently its only producing asset. The mine has been in production for just over a year. (Reporting by Euan Rocha, editing by Dave Zimmerman)